25 May '11, 10am

SIA to set up new no-frills airline

SINGAPORE: Singapore Airlines has announced its intention to establish a new no-frills, low-fare airline which will operate wide-body aircraft on medium and long-haul routes. It said the new airline is being established following extensive review and analysis. SIA joins a growing number of low-cost carriers, such as Singapore-based Jetstar Asia and Malaysia's AirAsia, in introducing low-fare flights to medium and long-haul routes. Such routes are typically to destinations further than five hours' flight from Singapore. SIA said it will enable the group to serve a largely untapped new market and cater to the growing demand among consumers for low-fare travel. Operations are expected to begin within one year. The airline will be wholly-owned by Singapore Airlines, but will be operated independently and managed separately. SIA CEO Goh Choon Phong said there is a new market se...

Full article: http://www.channelnewsasia.com/stories/singaporebusinessn...

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